Today we began reaching out to our Microsoft 365 Personal and Family subscribers in New Zealand regarding a subscription alternative that we could have communicated more clearly when we changed our pricing in October 2024.
In response to the demand for advanced AI tools, we introduced AI capabilities into the Microsoft 365 Personal and Family subscriptions that we offer in New Zealand. In hindsight, we could have been clearer about the availability of a non-AI enabled offering with subscribers, not just to those who opted to cancel their subscription. In our email to subscribers, we expressed our regret for not being clearer about our subscription options, shared details about lower-priced alternatives that come without AI and offered a refund to eligible subscribers who wish to switch.
We have been present in New Zealand for more than 35 years, operating on the principles of trust and transparency. We fell short of our standards here, and we apologise. We will learn from this and improve.
# # #
Note to editors: Text of the email being sent to customers in New Zealand can be found below. Emails have been tailored based on subscribers’ individual plans, including whether they’re on a Personal or Family plan, and if they subscribe on a monthly or annual basis. The below text has been modified only to reflect the range of refunds available for those on monthly subscriptions.
Your Microsoft 365 Options
See your Microsoft 365 Subscription options and refund eligibility
In October 2024, we announced changes to our Microsoft 365 pricing for subscribers in New Zealand. We recognise we could have been clearer in our communications about the full range of Microsoft 365 subscription options including the option to switch to Microsoft 365 [Personal/Family] Classic. Our relationship with our customers is based on trust and transparency and we apologise for falling short of our standards.
We want to ensure you have all the information you need to make the choice that’s right for you, so we are sharing that information below, including the opportunity to receive a refund.
Option 1: Stay on Microsoft 365 [Personal/Family], your current plan
- Microsoft 365 [Personal/Family] includes the core Microsoft 365 apps plus our AI assistant Copilot and ongoing feature updates.
- Microsoft 365 [Personal/Family] renews at [$17/$23 NZD per month tax inclusive].
- If you wish to stay on Microsoft 365 [Personal/Family], no action is needed.
Option 2: Switch to Microsoft 365 [Personal/Family] Classic and receive a refund
- While Microsoft 365 [Personal/Family] Classic includes the core Microsoft 365 apps and regular security updates, it does not include our AI assistant Copilot and may not receive new feature updates.
- Microsoft 365 [Personal/Family] Classic renews at [$12/$18 NZD per month tax inclusive], the price you paid before the increase.
- If you want to continue using Microsoft 365 [Personal/Family] Classic after you switch plans, you’ll need to keep recurring billing enabled.
- If you switch to Microsoft 365 [Personal/Family] Classic by 31 December 2025, we’ll refund the difference in price between plans, starting from your first renewal date after 30 November 2024. We’ll process your refund to the payment method you use to subscribe within 30 days. Once the refund has been processed, it will be reflected in your Microsoft account. This refund option is only available to subscribers in New Zealand who receive this email and switch to the Microsoft 365 [Personal/Family] Classic plan by 31 December 2025.
Thank you for being a Microsoft 365 subscriber. We’re committed to making this process clear and improving your experience.